The Westpac-Melb Inst Leading Economic Index came out yesterday at a level slightly lower that the previous month. It moved from 7.5% in April to 6.7% in May. This is still above the level believed to indicate sustainable growth at 3.25% so there may be some more slowing for the RBA to do down the track.
What has moved yields down across the curve though are Bernanke's comments in his semi-annual testimony to the Senate. He said that the "economic outlook remains unusually uncertain" and he didn't deliver on hopes for further stimulus. This caused US Treasury yields to move lower and for our market to follow suit with the assumption that the US won't be
